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2024-04-30-accounts

REGISTERED COMPANY NUMBER: 08478949 (England and Wales) REGISTERED CHARITY NUMBER: 1152943

Report of the Trustees and Audited Consolidated Financial Statements for the Year Ended 30 April 2024 for The Zaha Hadid Foundation (A Company Limited by Guarantee)

The Zaha Hadid Foundation Contents of the Financial Statements For the year ended 30 April 2024

Page
Reference and Administrative Details 2
Report of the Trustees 3 to 4
Report of the Independent Auditors 5 to 6
Consolidated Statement of Financial Activities 7
Consolidated and Charity Statement of Financial Position 8
Consolidated Statement of Cash Flows 9
Notes to the Financial Statements 10 to 18

Page 1

The Zaha Hadid Foundation

Reference and Administrative Details

For the year ended 30 April 2024

Trustees

Registered office

Registered company number

Registered charity number

Auditors

Sir B Clarke Ms R Hadid Professor H M Kara Sir P Cook

28 Shad Thames London SE1 2YD

08478949 (England and Wales)

1152943

Cooper Parry Group Limited Statutory Auditor 1st Floor Abbey Square Davidson House The Forbury Reading RG1 3EU

Page 2

The Zaha Hadid Foundation

Report of the Trustees

For the year ended 30 April 2024

The Trustees who are also Directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 30 April 2024. The Trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

Objectives and Activities

The Charity continues to consolidate the various assets bequeathed by Dame Zaha Hadid, which includes preservation of the collection for future safeguarding. The Charity has continued to improve and enhance the safety of spaces it occupies, both public and for storage and collection. In addition, activities in the 2023-2024 year have included several education endeavours. More detail is set out below.

Its charitable objects, and examples of activities carried out pursuant to those objects, are as follows:

The advancement of education and the promotion of useful knowledge relating to architecture especially modern architecture, design and related disciplines by such charitable means as the trustees shall think fit including without prejudice to the generality of the foregoing:

1. Advancing the education of students and young persons in the fields of architecture, design and related disciplines;

Activities carried out included the following:

• Secured a fully-funded Arts and Humanities Research Council (AHRC) PhD studentship with University of Westminster (project started in September 2023);

• Created a 6 month work placement from September 2024 for a PhD student working on archives and collections, as part of AHRC TECHNE Doctoral Training programme;

• Participated in annual London Festival of Architecture (June 2023) with a programme of public talks, events and an exhibition;

• Hosted and co-delivered student architecture and design projects including Yale University School of Architecture Summer School (May 2023) and Ravensbourne University London project (Oct 2023-Jan 2024);

• Convened a series of research workshops on architectural legacies with Manchester School of Architecture, with invited participants from academic, museum and architecture sectors.

2. For the public benefit, establishing, providing and/or maintaining archives and permanent or temporary exhibitions of the works of Dame Zaha Hadid (whether comprising models, furniture, jewellery, fashion, drawings, paintings or other related works) and such other architects or practitioners in related disciplines as the trustees may determine; This has included the development of a museum-standard database, to record the collection and archive, and the ongoing inspection of works in the collections with regard to their authorship, physical stability and their conservation needs

Activities carried out included the following:

• Staged ZHF- curated collections exhibition entitled Zaha’s Moonsoon: An Interior in Japan (ZHF, 20 April – 22 July 2023) with supporting programme of public talks and events;

• Staged ZHF-curated exhibition (artist’s commission) entitled Younes Ben Slimane – Images de Tunisie (ZHF 11 April – 29 July 2024) with supporting programme of public talks and events;

• Conservation and loan of works to a major exhibition entitled A Permanent Nostalgia for Departure: A Rehearsal on Legacy with Zaha Hadid (Contemporary Arts Centre, Cincinnati, 22 September 2023 - 28 January 2024). This was also accompanied by a £5,000 artist’s grant towards the making of new work in response to Zaha Hadid’s legacy by Iraqi artist Rand Abdul Jabbar;

• Development of the Charity’s collections database (TMS Collections) that will enable the unique aspects of the collection to be captured and made accessible, including reconfiguring TMS Collections to align with the ZHF Inventory Project Plan, and to work towards meeting Spectrum standards for Museum Accreditation;

3. For the public benefit, the establishment and maintenance and/or support of a museum and/or art gallery; and the advancement of such other charitable objects as the trustees may determine.

Activities carried out included the following:

• Devising a ZHF Contemporary Commissions programme, supporting the development and exhibition of new artworks created in response to Zaha Hadid’s context and legacy. These commissions are intended, in first phase, to focus on artists with connection to the SWANA region. The first was French Tunisian filmmaker and architect, Younes Ben Slimane, for Spring 2024;

• Research and development for future touring and partner programme including a major retrospective exhibition;

• Scoping work on options for buildings strategy, including first stage feasibility study in consultation with architects Emrys and project management firm Capital & Provincial, as part of plans for enhanced research facilities, a potential permanent exhibition space and improved storage of and access to collections.

The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Charity should undertake.

Page 3

The Zaha Hadid Foundation

Report of the Trustees

For the year ended 30 April 2024

Financial review

The trustees consider the financial position of the charity to be satisfactory.

The charity has no specific reserves policies.

The reserves of the group at the year end were £37,238,845 (2023 - £37,616,101) to be distributed at the discretion of the Trustees.

Structure, governance and management

The Charity is a company limited by guarantee which was incorporated on 8 April 2013.

The Trustees are committed to ensuring the Foundation continues to provide the legacy that its founder Dame Zaha Hadid envisaged at its creation and would be proud of, following her untimely passing in 2016.

The articles of the company require that there be no less than three and no more than nine trustees.

None of the Trustees have any beneficial interest in the company. All of the Trustees are members of the company and guarantee to contribute £1 in the event of a winding up.

The Charity is related to the other companies controlled and owned by the Estate of Dame Zaha Hadid.

The Trustees have assessed the major risks to which the Charity is exposed, and are satisfied that systems are in place to mitigate exposure to them.

Statement of trustees' responsibilities

The trustees (who are also the Trustees of The Zaha Hadid Foundation for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and the Group and of the incoming resources and application of resources, including the income and expenditure, of the charitable company and the Group for that period. In preparing those financial statements, the trustees are required to

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and the Group and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

Auditors

The auditors, Cooper Parry Group Limited, will be proposed for re-appointment in accordance with section 485 of the Companies Act 2006.

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company Trustees, on 31 January 2025 and signed on the board's behalf by:

.................................................................... — Sir B Clarke - Trustee

Page 4

Report of the Independent Auditors to the Members of The Zaha Hadid Foundation

Opinion

We have audited the financial statements of The Zaha Hadid Foundation (the 'charitable company') and its subsidiaries (the 'Group') For the year ended 30 April 2024 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Charity Statement of Financial Position, the Consolidated Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other matters

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-the Report of the Trustees has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the Group and the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: -adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or -the financial statements are not in agreement with the accounting records and returns; or

-certain disclosures of trustees' remuneration specified by law are not made; or

-we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the Trustees of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the Group and the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the Group or the charitable company or to cease operations, or have no realistic alternative but to do so.

Page 5

Report of the Independent Auditors to the Members of The Zaha Hadid Foundation

Our responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We gained an understanding of the legal and regulatory framework applicable to the Charity and the industry in which it operates, and considered the risk of acts by the Charity that were contrary to applicable laws and regulations, including fraud. We discussed with the Trustees the policies and procedures in place regarding compliance with laws and regulations. We discussed amongst the audit team the identified laws and regulations, and remained alert to any indications of non-compliance.

During the audit we focused on laws and regulations which could reasonably be expected to give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and the Charities SORP. Our tests included agreeing the financial statement disclosures to underlying supporting documentation and enquiries with management.

Our procedures in relation to fraud included but were not limited to: inquires of management whether they have any knowledge of any actual, suspected or alleged fraud, and discussions amongst the audit team regarding risk of fraud such as opportunities for fraudulent manipulation of financial statements. We determined that the principal risks related to posting manual journal entries to manipulate financial performance and management bias through judgements in accounting estimates. We also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the Trustees that represented a risk of material misstatement due to fraud.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Roslyn McFarlane (Senior Statutory Auditor) for and on behalf of Cooper Parry Group Limited Statutory Auditor 1st Floor Abbey Square Davidson House The Forbury Reading RG1 3EU Date: 20/02/2025

Page 6

The Zaha Hadid Foundation

Consolidated Statement of Financial Activities

For the year ended 30 April 2024

Unrestricted funds Restricted funds Total Total
Group Group Group Group
Note 2024 2024 2024 2023
£ £ £ £
Income and endowments from
Royalties and levies 2 4,076,966 - 4,076,966 26,815,084
Other trading activities 3 - 2,619,085 2,619,085 2,082,130
Investment income 4 457,943 76,038 533,981 243,485
───────
─────── ─────── ───────
Total incoming resources 4,534,909 2,695,123 7,230,032 29,140,699
═══════ ═══════ ═══════ ═══════
Expenditure on
Other expenditure 6 3,936,728 3,670,560 7,607,288 4,878,483
─────── ─────── ─────── ───────
Total resources expended 3,936,728 3,670,560 7,607,288 4,878,483
═══════ ═══════ ═══════ ═══════
Net income/(expenditure) before investment (losses)/ gains 598,181 (975,437) (377,256) 24,262,216
Net (losses)/gains on investment - - - -
─────── ─────── ─────── ───────
Net (expenditure)/ income 598,181 (975,437) (377,256) 24,262,216
Movement in revaluation reserve - 247,725 247,725 -
─────── ─────── ─────── ───────
Net movement in funds 598,181 (727,712) (129,531) 24,262,216
Funds brought forward at 1 May 2023 14,766,024 22,850,077 37,616,101 13,353,885
Movement in revaluation reserve - (247,725) (247,725) -
─────── ─────── ─────── ───────
Funds carried forward at 30 April 2024 15,364,205 21,874,640 37,238,845 37,616,101
═══════ ═══════ ═══════ ═══════

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure is derived from continuing activities.

The notes on pages 10 to 18 form part of these financial statements.

Page 7

The Zaha Hadid Foundation

Consolidated and Charity Statement of Financial Position

As at 30 April 2024

Group Charity Group Charity
Note 2024 2024 2023 2023
£ £ £ £
Fixed Assets
Intangible assets 14 179,575 53,135 208,901 28,757
Tangible assets 13 16,326,216 622,209 16,875,662 489,993
Investments 15 - 21,916,591 - 21,916,591
─────── ─────── ─────── ───────
16,505,791 22,591,935 17,084,563 22,435,341
═══════ ═══════ ═══════ ═══════
Current Assets
Stocks 16 560,855 47,041 483,766 47,041
Debtors 17 2,579,597 500,726 3,968,044 843,438
Cash at bank and in hand 19,911,071 14,830,074 18,496,992 14,059,920
─────── ─────── ─────── ───────
23,051,523 15,377,841 22,948,802 14,950,399
═══════ ═══════ ═══════ ═══════
Creditors: Amounts falling due within
one year 18 (2,318,469) (726,323) (2,417,264) (748,682)
─────── ─────── ─────── ───────
Total assets less total liabilities 37,238,845 37,243,453 37,616,101 36,637,058
═══════ ═══════ ═══════ ═══════
Funds
Restricted funds 19 21,874,640 21,863,959 22,850,077 21,863,960
Unrestricted funds 19 15,364,205 15,379,494 14,766,024 14,773,098
─────── ─────── ─────── ───────
Total funds 37,238,845 37,243,453 37,616,101 36,637,058
═══════ ═══════ ═══════ ═══════

The charity has prepared group accounts in accordance with section 398 of the Companies Act 2006 and section 138 of the Charities Act 2011.

The surplus generated by the charity for the financial year was £606,395 (2023: £23,283,173 surplus)

Approved by the Board of Trustees on 31 January 2025 and signed on their behalf by

Sir B Clarke

Trustee

Registered charity in England and Wales - 1152943 Company Registration Number - 08478949

The notes on pages 10 to 18 form part of these financial statements.

Page 8

The Zaha Hadid Foundation

Consolidated Statement of Cash Flows

For the year ended 30 April 2024

Unrestricted funds Restricted funds Total Total
Group Group Group Group
Note 2024 2024 2024 2023
£ £ £ £
Cash flows from operating activities: 23 587,316 748,747 1,336,063 1,120,427
─────── ─────── ─────── ───────
Net cash provided by (used in) operating activities 587,316 748,747 1,336,063 1,120,427
─────── ─────── ─────── ───────
Cash flows from investing activities:
Purchase of non-current assets (269,834) (92,224) (362,058) (17,259,242)
Non-current assets received on acquisition - - - 16,771,052
Cash received on acquisition of subsidiaries - - - 4,371,770
Cash flow from taxation - (86,933) (86,933) (254,501)
Interest received 453,432 73,575 527,007 209,685
─────── ─────── ─────── ───────
Net cash provided by (used in) investing activities 183,598 (105,581) 78,017 3,838,763
─────── ─────── ─────── ───────
Change in cash and cash equivalents in the reporting period 770,914 643,165 1,414,079 4,959,191
Cash and cash equivalents at the beginning of the reporting
period 14,117,929 4,379,063 18,496,992 15,306,030
─────── ─────── ─────── ───────
Cash and cash equivalents at the end of the reporting period 14,888,843 5,022,228 19,911,071 20,265,221
═══════ ═══════ ═══════ ═══════

The notes on pages 10 to 18 form part of these financial statements.

Page 9

The Zaha Hadid Foundation

1 Accounting Policies

Notes to the Financial Statements

For the year ended 30 April 2024

Basis of preparing the financial statements

The Zaha Hadid Foundation is a registered charity, limited by guarantee, registered in the United Kingdom. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is given in the charity information on page 1 of these financial statements.

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention with the exception of investments which are included at market value.

Preparation of the financial statements requires management to make significant judgements and estimates in determining the carrying amounts of certain assets and liabilities. Management makes assumptions of the effects of uncertain future events on those assets and liabilities at the balance sheet date. The management's estimates and assumptions are based on historical experience and expectation of future events and are reviewed periodically. This disclosure excludes uncertainty over future events and judgement in respect of measuring financial instruments. There are no further significant judgements or estimates.

Basis of consolidation

These accounts consolidate those of the Charity and its wholly owned trading subsidiaries; Zaha Hadid Design Limited, Zaha Hadid Holdings Limited, Zaha Hadid (Services) Limited and Zaha Hadid (Italy) Limited. These are adjusted, where appropriate, to conform to group accounting policies. Zaha Hadid Foundation obtained legal title of Zaha Hadid Design Limited, Zaha Hadid Holdings Limited, Zaha Hadid (Services) Limited and Zaha Hadid (Italy) Limited on the 31 January 2023. The Zaha Hadid Foundation also acquired the beneficial interest in Zaha Hadid Design Limited and Zaha Hadid Holdings Limited on 31 January 2023 however, the beneficial interest in Zaha Hadid (Services) Limited and Zaha Hadid (Italy) Limited was transferred in March 2018. The subsidiaries results were consolidated from 31 January 2023. All subsidiaries have year ends that align with the Charity year end. A separate Statement of Financial Activities and Income an Expenditure Account for the charity have not been presented in accordance with the exemption afforded by section 408 of the Companies Act 2006.

Going concern

The trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the company to continue as a going concern. The trustees make this assessment in respect of a period of one year from the date of authorisation for issue of the financial statements and have concluded that the charity has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties about the charity’s ability to continue as a going concern, thus they continue to adopt the going concern basis of accounting in preparing the financial statements.

Key sources of estimation uncertainty and judgements

The preparation of financial statements in conformity with generally accepted accounting practice requires management to make estimates and judgement that affect the reported amounts of tangible fixed assets.

Zaha Hadid Holdings Limited owns two properties which have been used by the Zaha Hadid Foundation free of charge during the year. Rent has been estimated using 3rd party valuations.

Both the inital valuation of these properties in the subsidiary Zaha Hadid Holdings Limited, and the rental charge recognised in the Charity are based off of valuations performed by an external expert, but contain estimates related to usage and market values and rates.

Income resources

All income is recognised on a receivable basis, in accordance with the provisions of Statement of Recommended Practice- Accounting and Reporting by Charities.

Trading income

Income in trading subsidiaries represents amounts receivable for goods and services net of VAT.

Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management carried out at their Headquarters.

Stocks

The Foundation has received a number of artworks and other personal chattels from the Estate of Dame Zaha Hadid which it intends to use to promote the causes of the Foundation. These assets are considered to be heritage assets (see below heritage assets policy). The only cost to the Foundation has been shipping overseas assets to the U.K and it is these costs that are included in the stock figure. Stock is included at the lower of cost or net realisable value.

Stock is also held in the trading entities, and is valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Heritage assets

The charity adopts a policy of valuation, though is not required to recognise heritage assets on the balance sheet due to the fact that information on their cost or valuation is not currently available and such information cannot be obtained at a cost commensurate with the benefit to the users of the accounts and to the charity.

Page 10

The Zaha Hadid Foundation

Notes to the Financial Statements

For the year ended 30 April 2024

1 Accounting Policies - continued

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Improvements to property - 10% on cost Fixtures and fittings - 20% on cost Computer equipment - 33% on cost Long-term leasehold property - 4% on cost

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. Intangible assets are amortised evenly over their estimated useful life.

Patents & Licences - 10% on cost Computer software - 33% on cost

Fund Accounting

Unrestricted funds are donations and other income resources receivable or generated for the objects of the charity without further specified purpose and are available as general funds.

There is a restricted fund in both the Charity and the Group. This relates to a restriction on the Charity's access to the profits, assets, and liabilities of Zaha Hadid Design Limited and Zaha Hadid Holdings Limited for a period of 7 years from 2022 as part of the conditions of appointment of the Charity as parent of the Group.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the company; this is normally upon notification of the interest paid or payable by bank.

Financial instruments

Financial assets and financial liabilities are recognised in the balance sheet when the Group becomes a party to the contractual provisions of the instrument.

Trade and other debtors and creditors are classified as basic financial instruments and measured at initial recognition at transaction price. Debtors and creditors are subsequently measured at amortised cost using the effective interest rate method. A provision is established when there is objective evidence that the Group will not be able to collect all amounts due.

Cash and cash equivalents are classified as basic financial instruments and comprise of cash in hand and at bank which are an integral part of the Group's cash management.

Financial liabilities and equity instruments issued by the Group are classified in accordance with the substance of the contractual arrangements entered into and the definitions of a financial liability and an equity instrument. An equity instrument is any contract that evidences a residual interest in the assets of the Group after deducting all of its liabilities. Equity instruments issued by the Group are recorded at the proceeds received, net of direct issue costs.

Taxation

The charity is exempt from corporation tax on its charitable activities, however corporation tax is incurred on non-charitable subsidiaries.

Taxation in the trading entities for the year to year comprises of current and deferred tax. Tax is recognised in the Statement of Financial Activities, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. Current or deferred taxation assets and liabilities are not discounted. Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

2 Royalties and levies Unrestricted funds Restricted funds Total Total
Group Group Group Group
2024 2024 2024 2023
£ £ £ £
Voluntary income - - - 1,078,588
Royalties and levies 4,076,966 - 4,076,966 3,819,905
Donations - - - 21,916,591
─────── ─────── ─────── ───────
4,076,966 - 4,076,966 26,815,084
═══════ ═══════ ═══════ ═══════
3 Other trading activities
Unrestricted funds Restricted funds Total Total
Group Group Group Group
2024 2024 2024 2023
£ £ £ £
Income of trading subsidiaries - 2,619,085 2,619,085 2,082,130
─────── ─────── ─────── ───────
- 2,619,085 2,619,085 2,082,130
═══════ ═══════ ═══════ ═══════

Page 11

The Zaha Hadid Foundation

Notes to the Financial Statements

For the year ended 30 April 2024

4 Investment income

Investment income
Unrestricted funds Restricted funds Total Total
Group Group Group Group
2024 2024 2024 2023
£ £ £ £
Rents received 4,511 - 4,511 33,799
Deposit account interest 453,432 76,038 529,470 209,685
─────── ─────── ─────── ───────
457,943 76,038 533,981 243,485
═══════ ═══════ ═══════ ═══════

5 Trading subsidiaries

The wholly owned trading subsidiaries listed below are incorporated in the United Kingdom and pay profits surplus to trading requirements to the charity.

The summary financial performance of the subsidiaries in the period of consolidation are as follows:

Zaha Hadid Zaha Hadid Zaha Hadid Zaha Hadid
Design Ltd Holdings Ltd (Italy) Ltd (Services) Ltd
£ £ £ £
Turnover 2,616,125 102,487 - -
Expenses (2,604,714) (1,108,171) (3,015) (5,199)
Operating profit ─────── ─────── ─────── ───────
11,411 (1,005,684) (3,015) (5,199)
Taxation (Note 12) (97,663) 116,500 - -
─────── ─────── ─────── ───────
Profit before distribution (86,252) (889,184) (3,015) (5,199)
═══════ ═══════ ═══════ ═══════
Assets 13,605,399 15,797,320 611 58,920
Liabilities (157,156) (7,370,923) (8,792) (13,396)
Capital and reserves (13,448,243) (8,426,397) 8,181 (45,524)
═══════ ═══════ ═══════ ═══════
Company number 06019320 05628725 06693897 06693908
6 Other expenditure Group Group Group Group
2024 2024 2024 2023
Management costs Other costs Totals Totals
(see note 7) (see note 8)
Support costs £ £ £ £
Unrestricted funds 1,475,599 2,461,129 3,936,728 2,589,637
Restricted funds 1,807,086 1,863,474 3,670,560 2,288,846
─────── ─────── ─────── ───────
3,282,685 4,324,603 7,607,288 4,878,483
═══════ ═══════ ═══════ ═══════
7 Management costs
Unrestricted funds Restricted funds Total Total
Group Group Group Group
2024 2024 2024 2023
£ £ £ £
Wages 905,743 871,527 1,777,270 870,406
Social security 101,648 111,838 213,486 102,203
Pensions 52,321 13,510 65,831 15,874
Staff training 39,304 - 39,304 12,541
Rates and water 80,565 (8,185) 72,380 110,859
Light and heat 107,833 (6,934) 100,899 104,745
Telephone 15,880 7,959 23,839 10,655
Postage and stationery 9,321 6,740 16,061 6,195
Advertising 24,000 12,806 36,806 20,880
Rent 25,744 59,662 85,406 1,089,961
Depreciation 113,240 684,459 797,699 214,281
Amortisation of intangible assets - 53,704 53,704 31,035
─────── ─────── ─────── ───────
1,475,599 1,807,086 3,282,685 2,589,637
═══════ ═══════ ═══════ ═══════

Page 12

The Zaha Hadid Foundation

Notes to the Financial Statements

For the year ended 30 April 2024

8 Other costs Unrestricted funds Restricted funds Total Total
Group Group Group Group
2024 2024 2024 2023
£ £ £ £
Repairs and renewals 68,641 501 69,142 114,536
Computer costs 106,407 158,894 265,301 57,617
Insurance 70,236 58,132 128,368 102,433
Travel expenses 25,559 2,303 27,862 23,534
Legal fees 1,612,416 269,829 1,882,245 1,044,988
Accountancy fees 61,819 151,664 213,483 56,551
Security 181,182 - 181,182 135,842
Entertainment 12,636 3,273 15,909 7,302
Subscriptions 4,531 - 4,531 3,411
Cleaning 16,862 - 16,862 9,917
Sundry 16,156 2,958 19,114 36,742
Direct costs - trading subsidiaries - 1,149,960 1,149,960 385,918
Art handling costs 283,019 - 283,019 203,489
Bad debts - 44,198 44,198 -
Taxation - trading subsidiaries (Note 12) - (18,837) (18,837) 246,907
Foreign exchange (gains)/loss - 37,739 37,739 (141,480)
Bank charges 1,665 2,860 4,525 1,140
─────── ─────── ─────── ───────
2,461,129 1,863,474 4,324,603 2,288,846
═══════ ═══════ ═══════ ═══════
9 Net income/(expenditure)
Unrestricted funds Restricted funds Total Total
Net (expenditure)/ income is stated after charging/(crediting): Group Group Group Group
2024 2024 2024 2023
£ £ £ £
Auditors' remuneration 31,200 39,500 70,700 60,250
Depreciation and amortisation - owned assets 113,240 738,163 851,403 245,316
═══════ ═══════ ═══════ ═══════

10 Trustees' remuneration and benefits

There were no trustees' remuneration or other benefits for the year ended 30 April 2024 nor the year ended 30 April 2023.

Trustees' expenses

There were no trustees' expenses paid for the year ended 30 April 2024 nor the year ended 30 April 2023.

11 Staff costs Unrestricted funds Restricted funds Total Total
Group Group Group Group
2024 2024 2024 2023
£ £ £ £
Wages and salaries 905,743 871,527 1,777,270 870,406
Social security costs 101,648 111,838 213,486 102,203
Other pension costs 52,321 13,510 65,831 15,874
─────── ─────── ─────── ───────
1,059,712 996,875 2,056,587 988,483
═══════ ═══════ ═══════ ═══════
The average monthly number of employees during the year was as follows: Group Group
2024 2023
£ £
Employed by trading subsidiaries 9 3
Management and administration of charity 18 12
─────── ───────
27 15
═══════ ═══════

The number of employees whose employee benefits (excluding employers pension costs) exceeded £60,000 was:

Group Group
2024 2023
£ £
£60,000 - £70,000 1 2
£80,000 - £90,000 1 1
£100,000 - £110,000 1 -
£110,000 - £120,000 1 -
═══════ ═══════

Page 13

The Zaha Hadid Foundation

For the year ended 30 April 2024

Notes to the Financial Statements

12 Taxation

Taxation is incurred by the trading subsidiaries of the Charity. The tax (credit)/charge on trading profits for the period of consolidation was as follows:

Unrestricted funds Restricted funds Total Total
Group Group Group Group
2024 2024 2024 2023
£ £ £ £
UK corporation tax - 39,576 39,576 303,811
Deferred tax - (58,413) (58,413) (56,904)
─────── ─────── ─────── ───────
Tax on trading profits - (18,837) (18,837) 246,907
═══════ ═══════ ═══════ ═══════

Taxation is included in other costs in the consolidated statement of financial activities.

13 Tangible fixed assets

Group

Group
Freehold Improvements Fixtures & Computer
property to property equipment Equipment Total
£ £ £ £ £
Cost
As at 1 May 2023 16,500,000 152,540 382,127 65,330 17,099,997
Additions - 59,572 164,647 38,828 263,047
Disposals - - - - -
─────── ─────── ─────── ─────── ───────
As at 30 April 2024 16,500,000 212,112 546,774 104,158 17,363,044
═══════ ═══════ ═══════ ═══════ ═══════
Depreciation
As at 1 May 2023 165,000 6,236 40,805 12,293 224,334
Charge for the period 660,000 18,276 95,947 38,271 812,494
Eliminated on disposal - - - - -
─────── ─────── ─────── ─────── ───────
As at 30 April 2024 825,000 24,512 136,752 50,564 1,036,828
═══════ ═══════ ═══════ ═══════ ═══════
Net book value
As at 30 April 2024 15,675,000 187,600 410,022 53,594 16,326,216
═══════ ═══════ ═══════ ═══════ ═══════
As at 30 April 2023 16,335,000 146,304 341,322 53,037 16,875,663
═══════ ═══════ ═══════ ═══════ ═══════
Charity Improvements Fixtures & Computer
to property equipment Equipment Total
£ £ £ £
Cost
As at 1 May 2023 152,540 328,918 58,220 539,678
Additions 59,572 135,833 33,204 228,609
Disposals - - -
─────── ─────── ─────── ───────
As at 30 April 2024 212,112 464,751 91,424 768,287
═══════ ═══════ ═══════ ═══════
Depreciation
As at 1 May 2023 6,236 32,241 11,208 49,685
Charge for the period 18,276 49,714 28,403 96,393
Eliminated on disposal - - -
─────── ─────── ─────── ───────
As at 30 April 2024 24,512 81,955 39,611 146,078
═══════ ═══════ ═══════ ═══════
Net book value
As at 30 April 2024 187,600 382,796 51,813 622,209
═══════ ═══════ ═══════ ═══════
As at 30 April 2023 146,304 296,677 47,012 489,993
═══════ ═══════ ═══════ ═══════

Page 14

The Zaha Hadid Foundation

Notes to the Financial Statements

For the year ended 30 April 2024

14 Intangible fixed assets

15 Group
Patents &
Computer
licenses
software
Total
£
£
£
Cost
As at 1 May 2023
5,803
234,134
239,937
Additions
3,325
95,685
99,010
───────
───────
───────
As at 30 April 2024
9,128
329,819
338,947
═══════
═══════
═══════
Amortisation
As at 1 May 2023
184
30,851
31,035
Charge for the period
782
127,555
128,337
───────
───────
───────
As at 30 April 2024
966
158,406
159,372
═══════
═══════
═══════
Net book value
As at 30 April 2024
8,162
171,413
179,575
═══════
═══════
═══════
As at 30 April 2023
5,619
203,283
208,902
═══════
═══════
═══════
Charity
Patents &
Computer
licenses
software
Total
£
£
£
Cost
As at 1 May 2023
5,803
23,400
29,203
Additions
3,325
37,900
41,225
───────
───────
───────
As at 30 April 2024
9,128
61,300
70,428
═══════
═══════
═══════
Amortisation
As at 1 May 2023
184
261
445
Charge for the period
782
16,066
16,848
───────
───────
───────
As at 30 April 2024
966
16,327
17,293
═══════
═══════
═══════
Net book value
As at 30 April 2024
8,162
44,973
53,135
═══════
═══════
═══════
As at 30 April 2023
5,619
23,139
28,758
═══════
═══════
═══════
Investments
The Charity holds the following investments in subsidiary undertakings:
Charity
Charity
2024
2023
£
£
Zaha Hadid Design Limited
12,318,630
12,318,630
Zaha Hadid Holdings Limited
9,545,330
9,545,330
Zaha Hadid (Services) Limited
52,632
52,632
Zaha Hadid (Italy) Limited
-
-
───────
──────
21,916,591
21,916,591
═══════
═══════
The above investments represent an 100% holding of the subsidiary undertakings.
Further details on subsidiary undertakings can be found on Note 5

16 Stocks

Stocks
Group Charity Group Charity
2024 2024 2023 2023
£ £ £ £
Stocks 560,855 47,041 483,766 47,041
─────── ─────── ─────── ───────
560,855 47,041 483,766 47,041
═══════ ═══════ ═══════ ═══════

Page 15

The Zaha Hadid Foundation

Notes to the Financial Statements

For the year ended 30 April 2024

17 Debtors

Debtors
Group Charity Group Charity
2024 2024 2023 2023
£ £ £ £
Trade debtors 1,334,473 60 2,636,629 2,560
Prepayments and accrued income 865,482 483,643 993,975 839,630
Other debtors 69,533 - 77,997 -
Taxation 310,109 - 259,443 -
Amounts owed from group undertakings - 17,023 - 1,248
─────── ─────── ─────── ───────
2,579,597 500,726 3,968,044 843,438
═══════ ═══════ ═══════ ═══════
Creditors: amounts falling due within one year
Group Charity Group Charity
2024 2024 2023 2023
£ £ £ £
Trade creditors 398,543 183,653 901,613 533,572
Other creditors 85,786 78,425 196,565 105,571
Deferred tax 1,109,848 - 1,164,953 -
Accruals and deferred income 724,292 464,245 154,134 109,539
─────── ─────── ─────── ───────
2,318,469 726,323 2,417,264 748,682
═══════ ═══════ ═══════ ═══════
Movement in funds
Group- 2024
Opening Incoming Outgoing Other movements Closing
balance resources resources between funds balance
£ £ £ £ £
Unrestricted fund 14,766,024 4,534,909 (3,936,728) - 15,364,205
Restricted fund 22,850,077 2,695,123 (3,670,560) - 21,874,640
─────── ─────── ─────── ─────── ───────
Total Funds 37,616,101 7,230,032 (7,607,288) - 37,238,845
═══════ ═══════ ═══════ ═══════ ═══════
Charity- 2024
Opening Incoming Outgoing Other movements Closing
balance resources resources between funds balance
£ £ £ £ £
Unrestricted fund 14,773,099 5,957,349 (5,350,954) - 15,379,494
Restricted fund 21,863,959 - - - 21,863,959
─────── ─────── ─────── ─────── ───────
Total Funds 36,637,058 5,957,349 (5,350,954) - 37,243,453
═══════ ═══════ ═══════ ═══════ ═══════
Group- 2023
Opening Incoming Outgoing Other movements Closing
balance resources resources between funds balance
£ £ £ £ £
Unrestricted fund 13,353,885 5,188,501 (3,776,362) - 14,766,024
Restricted fund - 23,952,198 (1,102,121) - 22,850,077
─────── ─────── ─────── ─────── ───────
Total Funds 13,353,885 29,140,699 (4,878,483) - 37,616,101
═══════ ═══════ ═══════ ═══════ ═══════
Charity- 2023
Opening Incoming Outgoing Other movements Closing
balance resources resources between funds balance
£ £ £ £ £
Unrestricted fund 13,353,885 5,544,111 (4,124,898) - 14,773,098
Restricted fund - 21,863,960 - - 21,863,960
─────── ─────── ─────── ─────── ───────
Total Funds 13,353,885 27,408,071 (4,124,898) - 36,637,058
═══════ ═══════ ═══════ ═══════ ═══════

18 Creditors: amounts falling due within one year

19 Movement in funds Group - 2024

There is a restriction on the Charity's access to the profits, assets, and liabilities of Zaha Hadid Design Limited and Zaha Hadid Holdings Limited for a period of 7 years from 2022 as part of the conditions of appointment of the Charity as parent of the Group. This gives rise to a restricted fund in both the Charity figures and Group figures.

The restricted fund in the Charity relates to the investment in Zaha Hadid Design Limited and Zaha Hadid Holdings Limited, which are both trading subsidiaries of The Zaha Hadid Foundation Group (See note 5)

The restricted fund in the Group figures relates to the profits, assets, and liabilities of the same subsidiaries that the Charity does not yet have access to.

Page 16

The Zaha Hadid Foundation

Notes to the Financial Statements

For the year ended 30 April 2024

20 Pension costs

The group operates a defined contribution pension scheme for its employees. The charge across the group for the period was £65,831 (2023: £15,874). The amount owing at the year end was £8,565 (2023: £5,205).

21 Related party disclosures

During the year the foundation received levy income of £4,075,629 (2023: £3,819,905) from Zaha Hadid Limited, a company previously owned by the Estate of Dame Zaha Hadid. This levy income was incurred at an arms length basis.

Zaha Hadid Holdings Limited owns two properties which have been used by the Zaha Hadid Foundation free of charge during the year. Rent has been estimated at an arms length basis in the accounts of the Zaha Hadid Foundation as required by the SORP, but has not been recognised in Zaha Hadid Holdings Limited. The rent for the period was £1,422,440 (2023: £1,422,440).

For all other related party transactions advantage has been taken of the FRS102 exemption for the disclosure of transactions with wholly owned subsidiaries.

22 Ultimate controlling party

The company is under the control of its trustees.

23 Reconciliation of net income to net cash flow from operating activities

24
25
Unrestricted funds
Restricted funds
Total
Total
Group
Group
Group
Group
2024
2024
2024
2023
Net income for the reporting period:
£
£
£
£
598,180
(994,274)
(396,093)
24,509,123
Adjustments for:
Depreciation and amortisation charges
113,241
827,589
940,830
245,316
Donation of subsidiaries
-
-
-
(21,916,591)
Interest received
(453,432)
(73,575)
(527,007)
(209,685)
(Decrease)/ Increase in stocks
-
(77,089)
(77,089)
(146,541)
Decrease/ (increase) in debtors
359,583
1,079,530
1,439,113
(1,637,202)
Increase in creditors
(30,256)
(13,435)
(43,691)
276,008
───────
───────
───────
───────
Net cash provided by (used in) operating activities
587,316
748,747
1,336,063
1,120,427
═══════
═══════
═══════
═══════
Analysis of changes in group net funds
At 1 May 23
Cash flow
At 30 April 24
Net cash
£
£
£
Cash at bank
18,496,992
1,414,079
19,911,071
───────
───────
───────
Total
18,496,992
1,414,079
19,911,071
═══════
═══════
═══════
Analysis of net assets between funds
Unrestricted
Restricted
Total
Group- 2024
£
£
£
Intangible fixed assets
53,135
126,440
179,575
Tangible fixed assets
622,209
15,704,007
16,326,216
Net current assets / (liabilities)
14,688,861
6,044,193
20,733,054
────────
────────
────────
Balance as at 30 April 2024
15,364,205
21,874,640
37,238,845
═══════
═══════
═══════
Unrestricted
Restricted
Total
Charity- 2024
£
£
£
Intangible fixed assets
53,135
-
53,135
Tangible fixed assets
622,209
-
622,209
Investments
52,632
21,863,959
21,916,591
Net current assets / (liabilities)
14,651,518
-
14,651,518
────────
────────
────────
Balance as at 30 April 2024
15,379,494
21,863,959
37,243,453
═══════
═══════
═══════

Page 17

The Zaha Hadid Foundation

Notes to the Financial Statements

For the year ended 30 April 2024

26 Consolidated Statement of Financial Activities 2023

Unrestricted funds Restricted funds Total Total
Group Group Group Charity
2023 2023 2023 2022
£ £ £ £
Income and endowments from
Royalties and levies 4,951,124 21,863,960 26,815,084 3,837,710
Other trading activities - 2,082,130 2,082,130 -
Investment income 237,377 6,108 243,485 26,566
─────── ─────── ─────── ───────
Total incoming resources 5,188,501 23,952,198 29,140,699 3,864,276
═══════ ═══════ ═══════ ═══════
Expenditure on
Other expenditure 3,776,362 1,102,121 4,878,483 1,133,137
─────── ─────── ─────── ───────
Total resources expended 3,776,362 1,102,121 4,878,483 1,133,137
═══════ ═══════ ═══════ ═══════
Net income/(expenditure) before investment (losses)/ gains 1,412,139 22,850,077 24,262,216 2,731,139
Transfers between funds - - - -
─────── ─────── ─────── ───────
Net movement in funds 1,412,139 22,850,077 24,262,216 2,731,139
Funds brought forward at 1 May 2022 13,353,885 - 13,353,885 10,622,746
─────── ─────── ─────── ───────
Funds carried forward at 30 April 2023 14,766,024 22,850,077 37,616,101 13,353,885
═══════ ═══════ ═══════ ═══════

Page 18